Jones Road Capital Management L.P. Cuts Position in Hewlett Packard Enterprise Company $HPE

Key Points

• Jones Road Capital Management L.P. significantly reduced its stake in Hewlett Packard Enterprise by 82.9% during the first quarter, now holding only 60,000 shares.
• In its latest quarterly earnings report, Hewlett Packard Enterprise beat analysts' expectations with $0.38 earnings per share and a revenue of $7.63 billion, marking a 5.9% increase compared to the previous year.
• The company recently declared a quarterly dividend of $0.13 per share, with a current dividend yield of 2.4% and a payout ratio of 52.53%.

Jones Road Capital Management L.P. decreased its position in Hewlett Packard Enterprise Company (NYSE:HPE - Free Report) by 82.9% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 60,000 shares of the technology company's stock after selling 290,000 shares during the quarter. Hewlett Packard Enterprise accounts for approximately 0.6% of Jones Road Capital Management L.P.'s holdings, making the stock its 18th largest position. Jones Road Capital Management L.P.'s holdings in Hewlett Packard Enterprise were worth $926,000 at the end of the most recent quarter.

Several other hedge funds have also made changes to their positions in HPE. National Bank of Canada FI raised its stake in shares of Hewlett Packard Enterprise by 1,369.1% in the 1st quarter. National Bank of Canada FI now owns 16,279,442 shares of the technology company's stock worth $251,192,000 after buying an additional 15,171,314 shares in the last quarter. Slate Path Capital LP grew its holdings in shares of Hewlett Packard Enterprise by 44.8% during the fourth quarter. Slate Path Capital LP now owns 12,689,164 shares of the technology company's stock valued at $270,914,000 after buying an additional 3,924,039 shares in the last quarter. Northern Trust Corp grew its holdings in shares of Hewlett Packard Enterprise by 24.7% during the fourth quarter. Northern Trust Corp now owns 16,184,240 shares of the technology company's stock valued at $345,534,000 after buying an additional 3,208,424 shares in the last quarter. Worldquant Millennium Advisors LLC grew its stake in Hewlett Packard Enterprise by 1,382.5% in the fourth quarter. Worldquant Millennium Advisors LLC now owns 3,299,615 shares of the technology company's stock valued at $70,447,000 after purchasing an additional 3,077,046 shares in the last quarter. Finally, Freestone Grove Partners LP purchased a new position in Hewlett Packard Enterprise in the fourth quarter valued at about $60,040,000. Institutional investors own 80.78% of the company's stock.

Insider Buying and Selling

In other Hewlett Packard Enterprise news, EVP Phil Mottram sold 30,000 shares of the company's stock in a transaction dated Monday, June 30th. The stock was sold at an average price of $20.54, for a total value of $616,200.00. Following the completion of the transaction, the executive vice president owned 42,427 shares of the company's stock, valued at $871,450.58. This represents a 41.42% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP Jeremy Cox sold 68,590 shares of the firm's stock in a transaction on Friday, June 27th. The shares were sold at an average price of $18.44, for a total transaction of $1,264,799.60. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 128,590 shares of company stock worth $2,436,000. 0.36% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

HPE has been the subject of a number of recent analyst reports. Loop Capital upped their target price on Hewlett Packard Enterprise from $16.00 to $18.00 and gave the stock a "hold" rating in a research report on Monday, June 9th. Evercore ISI boosted their price target on shares of Hewlett Packard Enterprise from $25.00 to $28.00 and gave the company an "outperform" rating in a report on Wednesday, August 6th. JPMorgan Chase & Co. began coverage on Hewlett Packard Enterprise in a report on Thursday, July 17th. They issued an "overweight" rating and a $30.00 target price for the company. Raymond James Financial increased their target price on Hewlett Packard Enterprise from $23.00 to $26.00 and gave the stock a "strong-buy" rating in a report on Wednesday, June 4th. Finally, Barclays increased their price target on Hewlett Packard Enterprise from $24.00 to $26.00 and gave the stock an "overweight" rating in a research report on Thursday, July 3rd. Two analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $23.27.

Hewlett Packard Enterprise Trading Up 2.9%

Hewlett Packard Enterprise stock traded up $0.6410 during mid-day trading on Friday, hitting $22.4610. 18,242,237 shares of the company's stock were exchanged, compared to its average volume of 14,960,326. The company's 50 day simple moving average is $20.31 and its 200-day simple moving average is $18.30. Hewlett Packard Enterprise Company has a fifty-two week low of $11.97 and a fifty-two week high of $24.66. The firm has a market capitalization of $29.47 billion, a P/E ratio of 22.69, a PEG ratio of 3.14 and a beta of 1.37. The company has a quick ratio of 0.96, a current ratio of 1.29 and a debt-to-equity ratio of 0.52.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last announced its quarterly earnings data on Tuesday, June 3rd. The technology company reported $0.38 earnings per share for the quarter, beating the consensus estimate of $0.33 by $0.05. Hewlett Packard Enterprise had a return on equity of 9.59% and a net margin of 4.60%.The company had revenue of $7.63 billion during the quarter, compared to analysts' expectations of $7.51 billion. During the same quarter last year, the company earned $0.42 EPS. Hewlett Packard Enterprise's revenue for the quarter was up 5.9% compared to the same quarter last year. Hewlett Packard Enterprise has set its FY 2025 guidance at 1.780-1.900 EPS. Q3 2025 guidance at 0.400-0.450 EPS. On average, equities analysts anticipate that Hewlett Packard Enterprise Company will post 1.85 earnings per share for the current year.

Hewlett Packard Enterprise Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, July 17th. Investors of record on Wednesday, June 18th were paid a $0.13 dividend. The ex-dividend date of this dividend was Wednesday, June 18th. This represents a $0.52 annualized dividend and a yield of 2.3%. Hewlett Packard Enterprise's dividend payout ratio (DPR) is 52.53%.

About Hewlett Packard Enterprise

Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data seamlessly in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. It operates in six segments: Compute, HPC & AI, Storage, Intelligent Edge, Financial Services, and Corporate Investments and Other.